Beyond The Numbers: 10 Analysts Discuss Sempra Stock

Sempra SRE underwent analysis by 10 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

Analysts have set 12-month price targets for Sempra, revealing an average target of $85.4, a high estimate of $99.00, and a low estimate of $72.00. This current average has decreased by 9.63% from the previous average price target of $94.50.

Investigating Analyst Ratings: An Elaborate Study

The analysis of recent analyst actions sheds light on the perception of Sempra by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Sempra. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Sempra compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of Sempra's stock. This analysis reveals shifts in analysts' expectations over time.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Sempra's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Sempra analyst ratings.

Discovering Sempra: A Closer Look

Sempra Energy serves one of the largest utility customer bases in the United States. It distributes natural gas and electricity in Southern California and owns 80% of Oncor, a transmission and distribution business in Texas. SoCalGas and San Diego Gas & Electric distribute gas to more than 20 million customers, while Oncor serves more than 10 million Texas customers. Sempra Infrastructure partners, of which Sempra holds a controlling ownership, owns and operates liquefied natural gas facilities in North America and infrastructure in Mexico.

Sempra: A Financial Overview

Market Capitalization Analysis: The company's market capitalization is above the industry average, indicating that it is relatively larger in size compared to peers. This may suggest a higher level of investor confidence and market recognition.

Revenue Growth: Sempra's remarkable performance in 3 months is evident. As of 31 December, 2024, the company achieved an impressive revenue growth rate of 7.65%. This signifies a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Utilities sector.

Net Margin: Sempra's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 17.7% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Sempra's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 2.25%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Sempra's ROA excels beyond industry benchmarks, reaching 0.7%. This signifies efficient management of assets and strong financial health.

Debt Management: With a below-average debt-to-equity ratio of 1.18, Sempra adopts a prudent financial strategy, indicating a balanced approach to debt management.

The Basics of Analyst Ratings

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.